5 reasons why 'Dying Intestate’ can cause issues for loved ones you leave behind.
In a world where uncertainty is part of our everyday life, planning for the inevitable is a responsible and caring step in securing the future of your loved ones. A crucial aspect of this planning is drafting a Will – an important legal document which sets out how you wish to distribute your assets after you're gone.
Failing to create a valid Will (or failing to appropriately update it) can lead to a situation known as 'dying intestate'. If you were to pass away intestate, the distribution of your lifes works is determined by the strict laws of the land. In these cases the legal system steps in to manage and allocate the deceased persons estate. In essence if you don’t make a will the system will step in and give you a default will.
Securing your legacy starts with carefully creating a personalised Will.
In New South Wales, the process of dying intestate involves appointing an administrator – most often a family member – who will oversee the management and distribution of assets in accordance with predefined rules. These rules prioritise distribution based on family relationships, starting with the spouse, children, parents, and then extending on to more distant relatives.
This predefined system of distribution rarely aligns exactly with the deceased’s specific wishes or personal circumstances. For instance, it does not take into consideration the current status or complexity of your relationships or the unique needs of your loved ones.
Sadly, intestacy often leads to significant problems affecting those left behind, and a general disappointment that the deceased did not get a ‘final say’ in their own estate.
Here are 5 reasons why 'Dying Intestate’ can cause issues for loved ones you leave behind
Climate of Uncertainty
Without a Will, your loved ones will face uncertainty, confusion, and potential disagreement regarding who should handle the estate and how your assets should be distributed. Without the ‘road map’ of a Will the legal path forward will be more complex and potentially create an environment where hostilities develop into lengthy legal battles.
Potential family conflicts
Time and time again we have seen intestacy amplify any existing family tensions, especially if there are disagreements about how the estate should be handled, or differing views about what the deceased would have wanted had they prepared a valid will. These conflicts can be emotionally taxing and strain family bonds at what is already a very difficult time.
Additionally, intestacy can create unusual (and unworkable) circumstances where estranged family members, such a separated parents or feuding siblings, are forced back into communication and asked to work together to handle the estate.
Delays and legal expenses
The legal process of intestacy is generally time-consuming and costly. The Court will not grant administration without first going through a full and proper investigation process. This includes requiring that a significant search for any wills (or will like documents) be first undertaken. This is the case even if it is well known that the Deceased never prepared a will.
Additionally as part of this process there is a need to disclose the deceased’s personal circumstances and relationships, and the need to locate and verify all potential heirs. This lengthy and often frustratingly tedious process can easily be avoided by having a will in place.
Unintended beneficiaries
The predefined rules of intestacy may allocate your assets to relatives whom you might not have wished to include as beneficiaries. In such cases it is very possible that a separated partner, or a largely unknown family member may receive the benefit of your estate, taking funds away from the actual people you would have liked to have assisted. In this regard your legacy may be negatively impacted, or entirely reshaped without your permission.
Losing the impact of a tailored legacy
Not having a Will completely denies you the opportunity to craft a tailored legacy which is reflective of your individual passions and personal values. Your Will should resonate with who you are, and be documentary evidence of the positive impact you wish to leave behind. Dying intestate causes significant risk that your assets may not pass to those people, causes, charities, or endeavours that hold personal significance.
By engaging an experienced estate planning lawyer, you can ensure that your legacy is a unique testament to your life, your ideals, and the mark you wish to make on the world, thereby inspiring others to follow in your footsteps.
While dying intestate can have far-reaching consequences - emotionally and financially - it can be easily avoided by preparing a valid Will and keeping it updated. At Abbotts and Co. Lawyers, we can help guide you through the estate planning process, ensuring your wishes are clearly documented and legally sound.
Please get in touch with us today if you are ready to take the first steps to protect your legacy and spare your loved ones from unnecessary challenges.
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